CIT Serves as Sole Lead Arranger for $35 Million Financing to Support Goode Partners’ Acquisition of Forman Mills, Inc.
NEW YORK–October 31, 2016–(BUSINESS WIRE)–CIT Group Inc. (NYSE: CIT), cit.com, a leading provider of commercial lending and leasing services, today announced that CIT Retail Finance served as sole lead arranger for a $35 million senior secured credit facility to support the equity investment made by private equity sponsor, Goode Partners LLC, in the acquisition of Forman Mills, Inc. Forman Mills provides a “one-stop shop” for apparel, footwear and home goods for the whole family with branded merchandise 50% to 80% below MSRP. The financing was used to help fund the acquisition and to provide working capital. Financing was provided by CIT Bank, N.A., the principal bank subsidiary of CIT. Terms of the transaction were not disclosed.
“We are delighted to be acquiring Forman Mills from Rick Forman. Rick and his management team have built a great company that has a long history of providing family apparel with great style, selection and value to its customers,” said David Oddi, partner of Goode. “We plan to continue to expand geographically over the next several years and invest in the company’s infrastructure. Our first priority is to improve the shopping experience for our customers by investing in our people and supporting them with additional resources, including an upgraded point-of-sale system.”
Burt Feinberg, Managing Director and Group Head, CIT Commercial & Industrial, said, “We’re pleased to play a role leading this opportunity with a growing retailer that has a unique market position offering incredible value on clothing for all family members. The company has a proven track record in up and down markets, and Goode, with a rich and successful history in retail, is an ideal owner to continue to expand this business.”
Bob Klein, Director, CIT Corporate Finance, Retail & Restaurants, said, “This is a great transaction for both parties. Goode Partners’ expertise in the sector will provide Forman Mills with additional resources and expertise to expand their footprint while continuing to provide a diverse assortment of nationally recognized name brands.”
About Forman Mills, Inc.
Headquartered in Pennsauken, New Jersey, Forman Mills, Inc. is a regional chain that provides a “one-stop shop” for apparel, footwear and home goods for the whole family with branded merchandise 50% to 80% below MSRP. The company operates 36 off-price stores in nine states. formanmills.com
About Goode Partners
Goode Partners LLC is a New York-based private equity firm that focuses exclusively on investment opportunities in the retail, restaurant, apparel, direct marketing and branded consumer products sectors. The firm has established itself as a partner of choice by leveraging its unique combination of investment capital, a team of professionals with experience investing in and operating some of the world’s premier consumer brands and an extensive industry network. goodepartners.com
Founded in 1908, CIT (NYSE: CIT) is a financial holding company with more than $65 billion in assets. Its principal bank subsidiary, CIT Bank, N.A., (Member FDIC, Equal Housing Lender) has more than $30 billion of deposits and more than $40 billion of assets. It provides financing, leasing and advisory services principally to middle market companies across a wide variety of industries primarily in North America, and equipment financing and leasing solutions to the transportation sector. It also offers products and services to consumers through its Internet bank franchise and a network of retail branches in Southern California, operating as OneWest Bank, a division of CIT Bank, N.A. cit.com